tonight on "world news" -- hot and dangerous. 200 million americans in smothering heat. water evaporating out of the earth. and you see a lake virtually drying up before our eyes. market tremors. the dow falls because of that debt deadline. people are gobbling up gold. is this a sign the upheavele has begun? tabloid twist. a whistle blower dies in the murdoch scandal. and retirement revolution. millions of boomers are rewriting the idea of a second act. why are so many of them heading to one town in texas?

good evening. thank you for beginning thth wek with us. as more than 200 million americans in 36 states are watching asphalt blister and the water in the ground disappear, evaporating in the heat. this is how it works. where the air feels like 120 degrees. even hotter than the thermometers. the heat is spreading from the rockies to the east coast with more to come. abc's yungi de nies is at lake arlington, texas, tonight, where that lake is disappearing by the day. yungi. >> reporter: good evening, diane. this dry lake bed is what's left of lake arlington after so many days of record breaking heat. normally, the would be up here, well above my head, but it is now losing two inches every day. the images are astounding. where water should be, now only cracking mud and dry dust. and the exact same thing is

happening all over the state. this is lake travis in central texas before the drought and here it is now. the bathtub ring an eerie reminder of what was. on the shores of lake arlington, andrew jones is trying to fish in the shrinking waters. >> we're in drought conditions but i didn't think it was this bad. i didn't think the lake would be this low. >> reporter: in southwest oklahoma, hal mcknight's fish ponds are evaporating in front of him, so he's moving his fish into deeper water, by hand, to save them. >> we do have dry hot summers here in oklahoma but we have never seen anything like this. >> reporter: a massive heat dome is baking the middle of the country, 20 states, from texas to minnesota and into ohio, are under a heat watch, warning, or advisory. so much of the heat is centered over areas still drying g t after massive spring floods. all that surface water is now evaporating, adding high humidity to triple digit misery. so were to get relief?

you might think cool lakes, but with water levels falling, blue green algae and bacteria are exploding in these warm, stagnant waters. in oklahoma, health officials have shut down access to several contaminated lakes. >> the floods brought aot of fertilizer in and the heat is basically making the reservoirs into pea soup. everyone is at some degree of risk if they swim during a algae bloom of having a rash or skin irritation. >> reporter: a swimming pool, especially iced, like this one in omaha, where workers dumped tons of ice, may be the better option. and if nothing else, there's always ice cream. diane, that is a boat. i'm at the bottom of the lake bed. clearly, it's going to be a long time before it gets back in the water. this heat is incredibly dangerous. just hours ago here in north texas, a man died. emergency officials say they found him in a house with no air conditioning. diane. >> yungi, thank you for

reporting in tonight from that dry lake bed. next, there are a lot of ways americans are expressing worry and frustration at the squabbling politicians letting the debt deadline take the economy to the brink. the markets, the dow dropped almost 100 points, as worried investors pulled out. they're watching that clock, you see, right there, ticking down to the august 2nd deadline for a debt deal. and in another scramble for safety, people are rushing to invest in gold. prices up as never seen before. here's abc's john berman. >> reporter: the partisanship, politicking, and lack of progress in washington might already be taking a toll on your personal account and 401k. the stock drop today -- the first sign investors are saying, "we're mad as hell, and we're not going to take it anymore." >> the impatience and frustration is clearly getting there. >> reporter: wall street has a way of voicing its displeasure, and it's downright ugly. remember september 2008 when congress failed to pass a bank

bailout? stocks cratered, nearly 780 points that day. >> 3.5.5illion -- >> reporter: we are not there yet, but there are other unnerving signs -- call it a canary in a goldmine. gold prices are sky-rocketing. closing above 1,600 for the first time ever, 500% higher than 10 years ago. why is this troubling? it's investors betting there will be bedlam, no solution to the debt mess. fearing a market meltdown, gold is seen as a safe haven. >> the same concept of taking the money out of the market and putting it under your mattress. investors are taking money out of the market and putting it straight into gold. >> reporter: those ads on tv explain the new-age gold rush. >> listen to that. that's the sound of security. >> reporter: earlier this yearar the university of texas even put $1 billion of their endowment into gold, literally storing more than 6,000 gold bars in a vault.

these prices are one of the key things to watch the next two weeks. if gold prices continue this day after day after day, increase, it means investors really are betting on something close to a meltdown. also, u.s. treasuries, they're usually considered one of the safest investments but if investors stop buying them, it means they feel there's not much left that's safe. >> thanks so much, john. now, also in washington today, a woman who said her mission was to help the middle class prepare to leave town. president obama tapped former ohio attorney general richard cordreg who ran the consumer financial protection bureau. but it was this woman who was in essence the founding mother of the agency to help consumers get straight talk from banks and credit agencies. she was passed over for the top job. what happened? what's next for her? abc's jake tapper now.

>> reporter: he didn't nominate her to run the brand-new bureau but the president today made sure to give credit to elizabeth warren who came up with the idea for the agency and, since september, has been setting it up. >> let's face it, she's done it while facing some very tough opposition and drawing a fair amount of heat. >> reporter: so much heat, republicans threatened to block her nomination. on her way out the proverbial door, warren told uss today the bureau is on its way to making credit card and mortgage companies simplify their contracts and setting up a national consumer complaint hotline. >> nobody's responsible to the american consumer. nobody's looking out for american families. we started that. we're under way. >> reporter: you're the one who came up with the idea in this journal from four years ago. a lot of progressives out there are disappointed the president didn't nominate you. >> of all the ideas that got published in academic journals like that not so many make it into law. and i am really happy to see somebody else run it. >> reporter: warren has become a liberal icon.

fighting for the middle class. she says the criticism from the other side does not bother her. >> i threw rocks before i ever got to this town. and i'm not through throwing rocks now. so if there are folks who don't like what i do, so be it. but i'm still ready to fight. >> reporter: there are a lot of people who want you to fight for the massachusetts senateseat. >> my immediate future -- i'm taking my little grandkids and grand nieces and nephews to legoland. >> reporter: jake tapper, abc news, the white house. and now the race to save hundreds of thousands of people caught in what may be the worst humanitarian disaster on earth potentially. it is a cry for help. and abc news is the first american network to take you there, where families are walking days to try to save their children. abc's l la a san is the first at

the dadaab camp in kenya. >> reporter: 25 days ago, they made a decision. abdullah jareh and his wife decided to leave the drought behind. they took their mother and four children, setting out, on foot, in search of water and life. a grueling 25-day trek. the hot winds are wicked. jareh's wife did not make it. [ speaking foreign language ] >> translatoto she died because of hunger. she died from gajoo? >> reporter: "gajoo," the somali word for hunger. was she giving her food to her kids instead of eating? >> translator: yes, giving it to the children. >> reporter: this is where they have landed, the refugee camps. an oasis in a very parched land. but it is bursting, almost 400,000 souls and rising by the day. the doctors say they need antibiotics, basic equipment like mosquito nets, soap, and water jugs. and they need it now. but no matter what they have at

the camp, it is still 50 miles from the somalia border. a deadly 50 miles these families must travel even after they escape somalia. the aid groups say they can't get any closer, the threat of al qaeda militias make it too dangerous. [ child crying ] as we talk, one of the doctors notices how malnourished his younger son is. they rush him to the hospital. dad tries to feed him milklk aden struggles. the fight for him -- do you think he's going to be okay? >> yes, it will be okay. >> reporter: as we leave, aden is nestled in his grandmother's arm. it will be the best night's sleep a little boy will have in a long time. while countless families set out on the same desperate walk tonight. lama hasan, abc news, dabaab refugee camp, kenya. now, abc's dr. richard besser who has worked in some of

the most desperately poor places on earth. so many people want to help. what's the most effect if thing to do tonight? >> i've been on the phone all day with colleagues here and in kenya. and there are things you can do. giving money is actually the most effective way to give support. it doesn't take a lot to make a difference to people who arrive in these camps. if your big focus is on food, and that has to be the number one problem here, you can give money to the world food program. they're feeding people in these camps right now. if your focus is on medical support and people arriving with common infections and things like measle, you can give money to doctors without borders.s. they're vaccinating, providing care, in the camps. if you just want to make sure the camps survive, you can give money to the international rescue committee. they're working in the camp we just saw. >> you have vetted the organizations for the amount of money they senento the region and actually put on the ground and the amount they give to organizations? >> that's so important. you want to make sure they have low overhead. these all do. these camps are doing great work. the problem's not going away soon. the soonest they predict there

will be rain in somalia will be october. i've put on the web more information about these sites as well as others i think are doing a terrific job. abcnews.c abcnews.com/help. >> so check out dr. besser's recommendations for helping online. thank you, rich. still ahead on "world news" -- cacabillionaire rupert murdoch, one of the most powerful men in the world, help his family survive the scandal? and what's happening in one texas town that has boomers flocking there tonight? also, what the japanese women soccer team teaches all about defeat may be destiny. another good thing about geico is, they've got, like,e,eal live people working there 24/7. so like say you need to report a claim, alright. a real person n ll be there to help you. then you can use geico.com to view photos of the damage, track your claim, print an estimate. you want an english muffin? they literally hand you a toasted muffin with butter and jam.

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i see you're flatulent in three languageses graduated op of your gas. [ male announcer ] got gas on your mind? your son rip is on line toot. [ male announcer ] try gas-x. powerful relief # from pressure and bloating in a fast-acting chewable. gas-x. pressure's off. tonight, the scandal that has engulfed billionaire rupert murdrdh is unfolding at breaeataking speed. the whistle wherer who rocked murdoch's media empishgs one of his reporters, was found dead. though foul play is not suspected. the editor of murdoch's tainted tabloid, rebecca brooks, arrested. and two top police chiefs, including the head of england's mighty scotland yard, resigned. now, a powerful father has to try to protect his son. here is abc's jeffrey kofman. >> reporter: just because they own tv networks doesn't mean the murdoches, father and son, like being on them. but tomorrow rupert and james murdoch will be stars of their own version of "dynasty."

as they are grilled live by outraged british politicians. >> he worries not just about the company he built -- he didn't inherit this company, he built it. he's also got to worry about his children, who he assumed would -- and wanted to succeed him. >> reporter: that is looking increasingly unlikely. james murdoch was being groomed to take over from his 80-year-old dad. but he could now face criminal charges. he admits paying two high-profile victims of his newspapers illegal hacking $1 million to keep quiet. >> there was a particular settlement that i authorized, and i've said was made with information that was incomplete. >> reporter: this scandal is nothing less than an earthquake, sending tremors to the highest levels of power in britain. the people of this country shocked to learn for the last 30 years murdoch and his executives have been dictating policy to the politicians and the police. the murdoches certainly have the ear of britain's prime minister. in 15 months, cameron has had 26

meetinin with murdoch executives. how powerful was rupert murdoch here in britain? >> immensely p perful. the view of every prime minister for the last 30 years is that no one can get elected without the blessing of the patriarch. >> reporter: the now not clear that either murdoch can survive this crisis. news corporation shares have tumbled. if the company faces criminal charges it could be forced to unload some of its most lucative holdings in the u.s. including fox tv. this really is a dynasty on the brink. jeffrey kofmananabc news, london. and coming up, the retirement revolution. one american city drawing boomers faster than any other. mine was earned over the south pacific in 1943. vietnam, 1967. i got mine in iraq, 2003. u.s.a.a. auto insurance is often handed down from generation to generation, because it offers a superior level of protection and because u.s.a.a.'s commitment to serve

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get care 1on1 and talk savings, safety, and side effects when you transfer or fill a new, ongoing prescription. i'm laura, and this is my cvs. it's all mine. tonight in this country, there is a retirement revolution under way. every day, anotherer10,000 americans turns 65. a tsunami. and they are of course the boomer generation. used to rewriting the rules. living life on their own terms. they are turning ideas about american retirement on its head. all this week, we're going to show you exactly how. tonight, location, location, location, more than any other generation in history, baby boomers say they plan to move when they retire. nearly half saying they'll even cross state lines. abc's claire shipman takes us to the one american city baby

boomers are flocking to faster than anywhere in the country. >> reporter: we thought we knew what retirement was all about. >> sun city in arizona. >> reporter: we were wrong. the walters have a different idea. did you ever think of retiring to a golfing community? >> no. >> actually, we ruled that out. >> reporter: guess what. turns out the number one new place to fire up the next part of your life is austin, texas. why? >> because it's fun. >> reporter: the census bureau says it has the fastest growing boomer p pulation in the u.s. it's a long way from your grandparents' retirement -- a big part of the draw for these boomers, the music scene. >> we have more fans now than before when i was 20, but they gegerally have grandchildren, great grandchildren. >> reporter: most critical, says the mayor -- >> low cost of living.

>> reporter: not to mention, a low cost of living, no state income tax, and housing that's 15% below the national average. austin offers intellectual stimulation -- something four out of ten boomers say they want. and the university of texas is actively courting boomers. >> we take three six-week terms every single year. >> reporter: do you feel like you're back in college? >> well, without the pressure. >> reporter: austin isn't alone. in 1960, the top three states with the most explosive growth among retirees -- arizona, florida, nevada. today look which cities are luring them in. raleigh, boise and colorado springs. so let's review. they want affordability, a chance to keep learning and a little something for the soul. ♪ knock 'em down guess who o se wants all that? their 20-year-old grandchildren. it sounds like almost, you know, you're having a renaissance of your youth. >> actually, in some case, it's better.

to me this is the best time. >> reporter: diane, one of the biggest questions we heard is how do i afford this. a couple of nights, we're going to tackle that. go through it step by step, and show you how we havavsome surprising advice. >> tomorrow night, you were saying to me, married boomers have found a way to -- >> live together apart. provocative. >> together apart. watch tomorrow night. thanks, claire. great series. and this will be a milestone for anyone but for nelson mandela who spent 27 years in prison because of his fight against apartheid, it is a wonder. madiba, is he is known, celebrated his 93rd birthday with his family. 12 million schoolchildren across afca sang to him. ♪ happy birthday and we're saying happy birthday too. coming up, a lesson in destiny from the japanese women's soccer team.

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finally tonight, let's face, it really hurt, the defeat for the u.s. women's soccer team yesterday. but as one fan said, what you saw on that soccer field from the japanese team was the soul of japan. and abc's john donvan tonight has a lesson on defeat and destiny. >> reporter: they wanted it so badly and they played so well. and yet, when japan pulled even in the final minutes, then won the whole thing on penalty kicks, was there maybe a hint of an idea that the universe has stepped in to steer this outcome? because what was it, the year after the water swallowed up new orleans, when the saints went on to win the super bowl. what was it in spring '99, when grieving columbine high school went on the following fall to win the state championship? or phil mickelson in 2010, his wife under treatment for breast cancer, his mother just diagnosed with the very same

thing, then he got to win the masters. of course he shot well that day. and they played well yesterday. but, honestly, the u.s. side played a lot better. so was it just some mysterious power that kept steering those fantastic u.s. shots just off, again and again? and everyone knew what japan has been through this year. and even the americans -- >> thihings just fell in for th team. >> reporter: because we think we've seen it before. john donvan, abc news, washington. >> and stay with us on abcnews.com. don't forgrg "nightline" later. and we'll see you back here tomorrow. have a wonderful night. thank you for being here. another good thing about geico is, they've got, like, real live people working there 24/7.

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